Last year was terrible for buyers, with slim pickings to choose from and multiple bids on any good homes. Well, it’s looking worse this year.
Data has come in for the beginning of 2018 that foreshadows the remaining Spring Market. Inventory is now at an all time low, with the lowest amount of homes in the MLS in at least a decade. Single family homes have the least amount of inventory, as new listings are down about about 22% from last year.
Why? Appreciation in Chicago home values lags behind the rest of the country. Sellers that want to sell don’t have enough equity to sell (they are underwater). Sellers also fear that they will have the same problems finding a new home if they decide to wade into the buying pool. Builders are not building anything near what demand is, and they are building rentals and ultra luxury homes- not affordable homes.
What can you do if you are a buyer? Make sure your agent knows what you want, and see it quick if you can. Days of seeing tons of homes are over. Don’t waste time with properties that don’t meet your needs. I’ll sit down with you and help focus your search applying my experience of almost 20 years of helping buyers in city and burbs.
Have your finances lined up since the offer process will move quick…I handle financing for my buyers so they have an advantage. I can look listing agent in the eye and say I personally approved your credit and its bona fide.This is much more powerful than just a piece of paper that says loan approval on it- I am declaring your offer as super legit and letting them know the deal will get done with me at the helm.
Another tip is writing a personal letter to the seller telling them how the property is perfect for you and your family. This is a throwback to when buyers met sellers in the backyard before offers were made. Gives sellers a comfy feeling…This works!
Finally, list agents want deals to go through. That means they want an experienced buyer agent to get the deal to closing quickly. I have dealt with all the top brokerages and bring a lot to the table- loan officer, real estate broker and attorney- so I have a strong rapport with the top list agents and a certified track record of getting deals done. In multiple bid situation, they will want to deal with me and my clients.